Federal banking regulators have just closed California leviathan IndyMac Bank FSB. The Federal Deposit Insurance Corp. has been named as conservator. I think this is the fifth bank to fail this year.

The FDIC said it will transfer insured deposits and “substantially all the assets” of IndyMac Bank, to a newly created successor, IndyMac Federal Bank, which will be operated by the FDIC.

IndyMac Bank, FSB had total assets of $32.01 billion and total deposits of $19.06 billion according to the latest figures, including about $1 billion of potentially uninsured deposits held by approximately 10, 000 depositors. The FDIC will begin contacting customers with uninsured deposits to arrange an appointment with an FDIC claims agent by Monday.

So let the fiscal bitch slapping begin… Round one… Ouch!